At the National level, the NRHM has
a Mission Steering Group (MSG) headed by the Union Minister for Health &
Family Welfare and an Empowered Programme Committee (EPC) headed by the Union
Secretary for Health & FW.The
EPC will implement the Mission under the overall guidance of the
MSG.

At the State level, the Mission
would function under the overall guidance of the State Health Mission headed by
the Chief Minister of the State.The functions under the Mission would be carried out through the State
Health & Family Welfare Society.The structures of the Mission and Society and their linkages are
mentioned in the following paragraphs.

4.Joint Secretaries:State
Programme Managers/Project Directors of National Disease Control
Programme

Members:

1.Director,
AYUSH

2.Secretaries / technical officers
from NRHM related sectors

3.Executive Secretary, State AIDS
Control Society [ for the States which decide not to merge it with State Health
& FW Society].

4.MoHFW,
GoI representative.

5.Regional
Directors

Frequency of
meetings: At least
once in every month

Ordinary Business:

Detailed expenditure and
implementation review.

Approval
of proposals from
districts and other implementing agencies/District Action Plans.

Execution of the approved State
Action Plan, including release of funds for programmes at State level as per
Annual Action Plan.

Release of funds to the District
Health Societies.

Finalization of working arrangements for
intra-sectoral and inter-sectoral co-ordination.

Follow up action on decisions of
the Governing Body.

C.Programme Committee for Health & FW
Sector

The
Executive Committee would ensure execution of integrated NRHM State Action
Plan.However, for administrative
convenience, the State may constitute Programme Committees for the National
Programmes for a more focused planning and review of each activity.Suggested constitution of the Committee
is as below:

The SPMSU will act as the
secretariat to the State Health Mission as well as the State Society. Headed by
an Executive Director/Mission Director, the SPMSU will have experts in the areas
of human resources, BCC, M&E and other technical areas, recruited from the
open market.The SPMSU will provide
the technical support to the State Health Mission through its pool of skilled
professionals like MBA, CA, MIS Specialist and Consultants for RCH and other
National Disease Control Programmes.This technical pool would be accessed by all programmes under NRHM for
providing specific programme support related to logistics, financial management,
MIS, tracking of funds etc.

After sanction of State Action Plan
by the Governing Body of State Health Society and of District Plans by the
Executive Committee, funds could be released through joint signatures of two
authorized signatories (viz. State Program Manager/DHS and Secretary
(HFW/Mission Director).The actual
release of funds could either be made by the concerned Programme Management Unit
with a copy of the sanction letter to the SPMSU, or vice-a-versa as per the
decided State model.However, the
responsibility of financial management, including tracking of funds, preparation
of Utilization Certificates and audit of the Society, shall be overseen by the
SPMSU.

E.Composite Organogram of the State
Mission and the State Society

The
State Mission and the State Society are inter-linked in terms of a common
secretariat as depicted below:

State Health
Mission

F.Process of merger
of existing societies

After the State Society has been
registered, a meeting of the Governing Body of existing State societies in the
health and family welfare sector has to be convened to adopt the following
resolution:

“ Resolved that the ………………….. (name of the society)
be dissolved with immediate effect and that all assets and liabilities of the
said society shall stand transferred to the ………………..(name of the State Health Society).”

A signed copy of the above
resolution has to be then filed with the Registrar of Societies to complete the
process of merger.

Appendices to facilitate creation
and functioning of State Society

Model Memorandum of Association
(Appendix-I)

Model Rules and Regulations (Appendix-II)

Generic Bye-laws (Appendix-III)

Appendix-I

(Model)
MEMORANDUM OF ASSOCIATION

OF

(State
name) HEALTH SOCIETY

1. Name of the Society

The Name of the Society shall
be “State Health Society, (State name)” hereinafter referred to as the
“Society”.

2.Area of operation

The area ofoperation of the Society shall be
whole of the State of …………...

3.Location

The Society shall have its
office at ………..in the State of ……….. with liberty for it to establish one
or more subordinate offices or outlets elsewhere in the State, if so
required.

4.Objectives

The Society shall serve in an
additional managerial and technical capacity to the Department of Health
& Family Welfare, Government of ………… for the implementation of
National Rural Health Mission (NRHM) in the State.

5.Scope of functions

To achieve the above
objectives, the Society shall direct its resources towards performance of
the following key tasks:

·Receive, manage (including
disbursement to implementing agencies e.g. Directorate,District Societies, NGOs
etc.) and account for the funds received from the Ministry of Health &
Family Welfare, Government of India.

·Manage theNGO / PPP (public–private
partnership) components of the NRHM in the State, including execution of
contracts, disbursement of funds and monitoring of performance.

·Function as a Resource Centre
for the Department of Health & Family Welfare in policy/situational
analysis and policy development (including development of operational
guidelines and preparation of policy change proposals for the
consideration of Government).

·Strengthen the technical /
management capacityof
the State Directorate as well as of the Districts Societies by various
means including through recruitment of individual / institutional experts
from the open market (with total programme management costs for the State
as a whole not exceeding to 6% of the total programme costs).

·Mobilize financial /
non-financial resources for complementing/supplementing the NRHM
activities in the State.

·Undertake such other
activities for strengthening NRHM in the State as may be identified from
time to time, including mechanisms for intra and inter-sectoral
convergence of inputs and structures.

For performing the above
tasks, the Society shall:

·Establish and carry out the
administration and management of the Society’s Secretariat, which will
serve as the implementation arm of the Society.

·Create administrative,
technical and other posts in the Secretariat of the Society as deemed
necessary.

·Establish its own compensation
package and employ, retain or dismiss personnel as
required.

·Establish its own procurement
procedures and employ the same for procurement of goods and services.

·Make rules and bye-laws for
the conduct of the activities of the Society and its Secretariat and add,
rescind or vary them from time to time, as deemed necessary.

6. First members of the
Governing Body

The names, addresses,
occupations and designations of the First Members of the Governing Body of
the Society to whom by the rules and regulations of the Society, the
management of the affairs of the Society is entrusted as required under
section 2 of the Societies Registration Act, 1860 (No. XXI of 1860) are as
follows:

A copy of the rules of the
Society certified to be a correct copy by three members of the Governing
Body is filed along with this Memorandum of
Association.

7.Declaration

We, the several persons whose
names and addresses are given below having associated ourselves for the
purpose described in this Memorandum of Association do hereby subscribe
our names to this Memorandum of Association and set our several and
respective hands hereunto and form ourselves into a Society under the
Societies Registration Act, 1860 (Act, No. XXI of 1860): this………….day of
2005 at……………...

Sl. N

Name

Occupation and address

Status in
Society

Signature

Attested by

1

2

3

4

6

7

Dated:
__________________

Appendix-II

STATE
HEALTH SOCIETY, …….. (name of State)

THE RULES
AND REGULATIONS

1.SHORT
TITLE

1.1These Rules
and Regulations shall be called “The Rules and Regulations of the State Health
Society (State name), 2005”.

1.2These Rules
shall come into force with effect from the date of registration of the Society
by the Registrar of Societies.

2.DEFINITIONS

2.1In the
interpretation of these Rules and Regulations, the following expressions shall
have the following meaning unless inconsistent with subject or
context:

“Act”
means Societies Registration Act, 1860.

“……….(abbreviation
of State Society)” means the State Health Society, …….. (State name)[1].

“Central
Government” means the Government of India.

“Chairperson”
means the Chairperson of the Governing Body of the Society.

“Chief
Executive Officer(CEO)” means the chairperson of the Executive Committee of the
Society.

“Executive
Committee” means the Executive Committee of the Society.

“Executive
Secretary” means the Executive Secretary of the Society.

“Governing
Body” means the Governing Body of the Society.

“Member”
means the Member of the Society.

“Rules”
means these Rules and Regulations registered alongwith the memorandum of
Association & as may be amended by the Governing Body of the Society from
time to time.

“Secretariat”
means the Secretariat of the Society.

“State Government” means the Government
of ….. (State name).

“Year”
means the financial year of the State Government of …. (State
name).

3OFFICE

3.1Registered
office of the Society shall be situated in the premises of ……………………………. located
at ………………………………….. (address where Society secretariat will be
located).

3.2The Society
may set up its branch offices in the State.

4MEMBERSHIP

4.1The
following shall be the members of the Society:

First
members of the Governing Body.

Additional
ex-officio members of the Governing Body.

Member
Secretary of the Society, to be appointed under these Rules.

Representative(s)
of the Government of India.

Representatives
of Development Partners supporting the NRHM activities in the State.

Representatives
of other organisations as may be determined by the Governing Body from time to
time.

Individuals
as may be nominated by the Governing Body from time to time.

4.2The
membership of an ex-officio member of the Society and of the Governing Body
shall terminate when he/she ceases to hold the office by virtue of which he/she
was member and his/her successor to the office shall become such
member.

4.3Non
official members of the Society will be nominated by the Chairperson in
consultation with other members of the Governing Body.Nominated members shall hold office for
a period of three years from the date of their nomination by the Chairperson.
Such
members will be eligible for re-nomination for another period of 3
years.

4.4The Society
shall maintain a roll of members at its registered office and every member shall
sign the roll and state therein his/her rank or occupation and address.No member shall be entitled to exercise
rights and privileges of a member unless he/she has signed the roll as
aforesaid.

4.5All members
of the Governing Body shall cease to be members if they resign, become of
unsound mind, become insolvent or be convicted of a criminal offence involving
moral turpitude or removal from the post by virtue of which s/he was holding the
membership.

4.6Resignation
of membership shall be tendered to the Governing Body in person to its Executive
Secretary and shall not take effect until it has been accepted on behalf of the
Governing Body by the Chairperson.

4.7If a member
of the Society changes his/her address he/she shall notify his/her new address
to the Executive Secretary who shall thereupon enter his/her new address in the
roll of member.But if a member
fails to notify his/her new address the address in the roll of members shall be
deemed to be his/her address.

4.8Any vacancy
in the Society or in the Governing Body shall be filled by the authority
entitled to make such appointment.No act or proceedings of the Society or of the Governing Body shall be
invalid merely by reason of the existence of any vacancy therein or of any
defect in appointment of any of its members.

4.9No member
of the Governing Body, except the Executive Secretary to be appointed as per
these Rules, shall be entitled to any remuneration.

5AUTHORITIES OF THE STATE HEALTH SOCIETY

5.1The
following shall be the bodies and authorities of the Society:

Governing
Body

Executive
Committee

Programme
Committees and such other bodies as may be prescribed by the Governing Body.
(Optional)

5.2GOVERNING
BODY

5.2.1All members of the Society as
set out in para 4.1 shall constitute the Governing Body of the Society.

5.2.2The first members of the
Governing Body of the Society shall be those mentioned in Clause 6 of the
Memorandum of Association.They
shall hold office until a new Governing Body is appointed according to these
Rules.

5.2.3The management of the affairs of the
Society shall be entrusted to Governing Body and the property of the Society
shall be vested in the Governing Body.

5.2.4The Society may sue or be
sued in the name of the Executive Secretary of the Society or of such other
members as shall,in reference to
the matter concerned,be appointed
by the Governing Body for the occasion.

5.3PROCEEDINGS
OF THE GOVERNING BODY

5.3.1The
meetings of the Governing Body shall be
held at least once in every six months and at such time and place as the
Chairperson shall decide.If the
Chairperson receives a requisition for calling a meeting signed by one-third
members of the Governing Body, the Chairperson shall call such a meeting as soon
as may be reasonably possible and at such place as s/he may deem fit.

5.3.2At the
annual meeting of the Governing Body the following business shall be brought
forward and disposed of:

·Income and expenditure account and the
balance sheet for the past year.

·Annual report of the
Society.

·Budget for the next year.

·Annual Action Plan and research work
for the next year.

·Appointments for the Executive
Committee and the various Committees.

·Other business brought forward with the
permission of the Chairperson.

5.3.3Every
notice calling meeting of the Governing Body shall state the date, time and
place at which such meeting will be held and shall be served upon every member
of the Governing Body not less than twenty one clear days before the date
appointed for the meeting.Such
notice shall be under the hand of the Executive Secretary and shall be
accompanied by an agenda of the business to be placed before the meeting
provided that accidental omission to give such notice to any member shall not
invalidate any resolution passed at such meeting.In the event of any urgent business the
Chairperson may call the meeting of the Governing Body at clear ten days
notice.

5.3.4The
Chairperson shall take the Chair at the meetings of the Governing Body. In
his/her absence, the Co-Chair or in his/her absence, the Vice-Chairperson will
chair the meeting, failing which the Governing Body shall elect one from among
the members present as Chairperson of the meeting.

5.2.5One
third of the members of the Governing Body, including the substitutes nominated
under Rule 5.2.7 present in person, shall form a quorum at every meeting of the
Governing Body.

5.2.6All
disputed questions at the meeting of the Governing Body shall be determined by
votes. Each member of the Governing Body shall have one vote and in case of any
equality of votes the Chairperson shall have a casting vote.

5.2.7Should
any official members be prevented for any reason whatsoever from attending a
meeting of the Governing Body the Chairperson of the Society shall be at liberty
to nominate a substitute to take his place at the meeting of the Governing
Body.Such, substitute shall have
all the rights and privileges of a member of the Governing Body for that meeting
only.

5.2.8Any
member desirous of moving any resolution at a meeting of the Governing Body
shall give notice there of in writing to the Executive Secretary of not less
than ten clear days before the day of such meetings.

5.2.9Any
business which it may become necessary for the Governing Body to perform except
such as may be placed before its Annual meeting may be carried out by
circulation among all its members and any resolution so circulated and approved
by majority of the members signing shall be as effectual and binding as if such
resolution had been passed at a meeting of the Governing Body provided that at
least one third members of the Governing Body have recorded their consent of
such resolution.

5.2.10In the event of
any urgent business, the Chairperson of the Society may take a decision on
behalf of the Governing Body.Such
a decision shall be reported to the Governing Body at its next meeting for
ratification.

5.2.11A copy of the
minutes of the proceedings of each meeting shall be furnished to the Governing
Body members as soon as possible after completion of the meeting.

5.4POWERS OF
THE GOVERNING BODY

5.4.1The
Governing Body will have full control of the affairs of the Society and will
have authority to exercise and perform all the powers, acts and deeds of the
Society consistent with the aims and objects of the Society.

5.4.2In
particular and without prejudice to the generality of foregoing provision, the
Governing Body may:

Make, amend, or repeal any bye
laws relating to administration and management of the affairs of the Society
subject to the observance of the provisions contained in the
Act.

Consider the annual budget and the
annual action plan, its subsequent alternations placed before it by the
Executive Secretary from time to time and to pass it with such modifications
as the Governing Body may think fit.

Monitor the financial position of
the Society in order to ensure smooth income flow and to review annual audited
accounts.

Accept donations and endowments or
give grants upon such terms as it thinks fit.

Delegate its powers, to the
Chairperson, Chief Executive Officer, Executive Secretary or other authorities
of the Society as it may deem fit.

Appoint committees, sub-committees
and boards etc. for such purpose and on such terms as it may deem fit, and to
dissolve / remove any of them.

Develop and adopt its own rules
and regulations for recruitment and appointment of experts and administrative
/ technical staff and set its own compensation package for such experts /
staff to be recruited from the open market and/or deputation
basis.

Develop and adopt its own
procurement procedures for procurement of goods and services.

·Authorise the Executive Secretary to
execute such contracts on behalf of the Society as it may deem fit in the
conduct of the business of the Society.

Do generally all such acts and
things as may be necessary or incidental to carrying out the objectives of the
Society or any of them, provided that nothing herein contained shall authorize
the Governing Body to do any act or to pass any bye-laws which may be
repugnant to the provisions hereof, to the powers hereby conferred on the
Governing Body and other authorities, or which may be inconsistent with the
objectives of the Society.

5.5POWERS AND
FUNCTIONS OF THE CHAIRPERSON OF THE GOVERNING BODY

5.5.1The
Chairperson shall have the powers to call for and preside over all meetings of
the Governing Body.

5.5.2The
Chairperson may himself/herself call, or by a requisition in writing signed by
him/her, may require the Executive Secretary to call, a meeting of the Governing
Body at any time and on the receipt of such requisition, the Executive Secretary
shall forthwith call such a meeting.

5.5.3The
Chairperson shall enjoy such powers as may be delegated to him by theGoverning Body.

5.5.4The
Chairperson shall have the authority to review periodically the work and
progress of the Society and to order inquiries into the affairs of the Society
and to pass orders on the recommendations of the reviewing or inquiry
Committee.

5.5.5Nothing
in these Rules shall prevent the Chairperson from exercising any or all the
powers of the Governing Body in case of emergencies in furtherance of the
objects of the Society. However, the action taken by the Chairperson on such
occasions shall be reported to the Governing Body subsequently for
ratification.

5.6EXECUTIVE
COMMITTEE

5.6.1The
Governing Body will constitute an Executive Committee which will be responsible
for acting for and doing all deeds on behalf of the Governing Body and

for taking all decisions and exercising all the powers, vested in the
Governing Body except those which the Governing Body may specifically specify to
be excluded from the jurisdiction of by the Executive Committee.

5.6.2The
composition of the Executive Committee shall be as follows:

Sl. No.

Name / designation

Status in Executive Committee

1

Principal Secretary (HFW)/ Secretary, (FW)

Chairperson, Executive Committee.

2

Principal Secretary (Health)/Secretary (FW)

Co-Chairperson

3

Director, Health & FW

Vice Chair

4-7

Programme Managers/Project Directors of National Disease
Control Programme

Joint Secretaries

8-10

Secretaries/technical officers from NRHM related
sectors

Members

11

Director, AYUSH

Member

12

Representative of Development Partners

Members

13

Representative of Ministry of Health & FW, Govt of India

Member

14

Regional Director of Health & FW, GoI

Member

15

Mission Director/Executive Director of the Society

Convenor

5.6.3The
Executive Committee may co-opt additional members and/or invite subject experts
to its meetings from time to time.

5.6.4Meetings of the Executive Committee shall be convened by the Convenor by
giving clear seven days notice in writing alongwith the Agenda specifying the
business to be transacted, the date, time and venue of the meeting.

5.6.5Meetings of the Executive Committee shall be held at least once a month
or more frequently if necessary.

5.6.6The
minutes of the Executive Committee meetings will be placed before the Governing
Body at its next meeting.

5.6.7The
various Committees constituted by the Governing Body shall submit their reports
to the Executive Committee who shall be empowered to take decisions on their
recommendations.

5.7 SOCIETY SECRETARIAT AND MISSION
DIRECTOR/EXECUTIVE DIRECTOR

5.7.1A Senior Officer of the State
Government of the rank of Special Secretary/Additional Secretary (an IAS Officer
of JAG/Selection Grade) shall be nominated as the Mission Director.Governing Body, with the assistance of
the Joint Secretary and officials such as Director/DG Health Services/Executive
Director, will establish a Secretariat of the Society consisting of technical,
financial and management professionals to serve as the implementation arm of the
Society.

5.7.2The Secretariat shall consist
of all such technical / management units put together and as may be determined
by the Governing Body with due regard to the scope of functions as set out in
Article 5 of the Memorandum of Association.

5.7.3The Executive Committee of
the Society will have overall responsibility for planning and executing the work
of the Secretariat, for supervising the work of the technical/management units
of the Secretariat, directing and overseeing implementation through the
Secretariat.

5.8POWERS AND
FUNCTIONS OF THE SECRETARIAT

5.8.1The Secretariat of the
Society shall consist of the Mission Director and Staff of the Society,
including experts and consultants.

5.8.2As the implementation arm of
the Society, the Secretariat will be responsible for day-to-day management of
the Society’s activities.In
particular, it will be responsible for performing all functions of the Society
as set out in article 5 of the MoA.

5.8.3As a support structure for
assisting Department of Health & FW of the State Government, the Secretariat
shall:

·cause
its experts and staff to be subjected to such operational arrangements with the
Directorate (including seating and reporting arrangements) as to generate
synergies,

·host
external experts within its premises, and

·provide such logistic support to the
officers and staff of the Directorate and Department of Health & FW of the
State Government as may be determined by the Governing Body.

6FUNDS OF THE SOCIETY

6.1The funds of the Society shall consist
of the following:

·Cash assistance received from the
Government of India.

·Grants-in-Aid from the State
Government.

·Grants and donations from trade,
industry, institutions and individuals.

·Receipts from disposal of assets.

The assets and liabilities of all Societies merged into the Integrated
Society shall be subsumed within the new Society.

7ACCOUNTS AND AUDIT

7.1The Society
shall cause regular accounts to be kept of all its monies and properties in
respect of the affairs of the Society.

7.2The
Executive Committee may cause separate Bank Accounts in respect of each scheme
or separate ledgers for each scheme under one account. In such an event, the
Governing Body shall prescribe written instructions relating to submission of
Statement of Expenditure (SoE) for each scheme.The separate Accounts of different
Programmes could be audited by different auditors, and submitted to Programme
Units separately.However, the
SPMSU will ensure one integrated audit of the State Health Society.

7.3The
accounts of the Society shall be audited annually by a Chartered Accountant firm
included in the panel of Comptroller and Auditor General of India or any
qualified person appointed by the Government of India/State Government and any
expenditure incurred in connection with such audit shall be payable by the
Society to the Auditors. The Office of
the Accountant General of State may also, at its discretion, audit the accounts
of the society.

7.4The
Chartered Accountant or any qualified person appointed by the Govt. of
India/State Government in connection with the audit of the accounts of the
Society shall have the same rights, privileges and authority in connection with
such audit as the Auditor General of the State has in connection with the audit
of Government accounts and in particular shall have the right to demand the
production of books, accounts, connected vouchers and other necessary documents
and papers.

7.5The report
of such audit shall be communicated by the auditor to the Society, which shall
submit a copy of the Audit Report alongwith its observation to the State
Government.

7.6The Auditor
shall also forward a copy of the report to the Chairperson of the Society and
representative(s) of the Government of India on the Governing Board.

8BANK ACCOUNT

8.1The account
of the Society shall be opened in a nationalised bank approved by the Executive
Committee or in a scheduled commercial bank as may be specified by the MoHFW,
Government of India.All funds
shall be paid into the Society’s account with the appointed bank and shall not
be withdrawn except through a cheque, bill note, other
negotiable instruments or through electronic banking (e-banking)
procedures signed/electronically authorised by such
authorities of the Society Secretariat as may be determined by the Executive
Committee.

8.2The Society
shall switch over to e-banking procedures as and when the MoHFW, Government of
India directs the Society to do so as the principal donor to the Society.

8.3The
Executive Committee shall authorise the Executive Director (Mission Director) to
operate the accounts of the Society in conjunction with another senior official
as may be decided by the Committee.

9ANNUAL REPORT

9.1A draft
annual report and the yearly accounts of the Society shall be placed before the
Governing Body at next meeting for consideration and approval.A copy of the annual report and audited
statement of accounts as finally approved by the Governing Body shall be
forwarded within six months of the closure of a financial year to the
Chairperson of the Governing Body and Government of India representatives on the
Governing Body.

10SUITS
AND PROCEEDINGS

10.1The Society may sue or be sued in the name of Society through its Mission
Director.

10.2No
suit or proceedings shall abate by the reason of any vacancy or change in the
holder of the office of the Chairperson or Executive Secretary or any oofice
bearer authorised in this behalf.

10.3Every decree or order against the Society in any suit or proceedings
shall be executable against the property of the Society and not against the
person or the property of the Chairperson, Executive Secretary or any office
bearer of the Society.

10.4Nothing in sub-rule 10.3 above shall exempt the Chairperson, Executive
Secretary or office bearer of the Society from any criminal liability or entitle
him/her to claim any contribution from the property of the Society in respect of
any fine to be paid by him/her on conviction by a criminal court.

11AMENDMENTS

11.1The Society may alter
or extend the purpose for which it is established and/or the Rules of the
Society.

11.2The proposition for any
alteration or extension to the objectives of the Society and / or the Rules must
be circulated to all members of the Governing Body and must be included in the
written agenda of the ensuing meeting of the Governing Body or a special meeting
of the Governing Body.

11.3No amendments shall be
effective unless the proposals in this regard have been endorsed by
3/5th of the members of the Governing Body provided that such
proposals have been endorsed in writing by the GoI representatives on the
Governing Body either during the meeting of the Governing Body or through a
written communication.

12DISSOLUTION

12.1The Governing Body may resolve to dissolve the Society by bringing a
proposal to that effect in a special meeting to be convened for the purpose.

12.2Upon the dissolution of the Society, all assets of the Society, after the
settlement of all its debts and liabilities, shall stand reverted to the State
Government of Bihar for such purposes as it may deem fit.

13 MISCLELLANEOUS

13.1CONTRACTS

13.1.1All contracts and
other instruments for and on behalf of the Society shall be subject to the
provisions of the Act, be expressed to be made in the name of the Society and
shall be executed by the persons authorised by the Governing Body.

13.1.2No contracts for
the sale, purchase or supply of any goods and material shall be made for and on
behalf of the Society with any member of the Society or his/her relative or firm
in which such member or his/her relative is a partner or shareholder or any
other partner or shareholder of a firm or a private company in which the said
member is a partner or director.

13.2COMMON SEAL

13.2.1The Society shall
have a common seal of such make and design as the Governing Body may approve.

13.3COMPLIANCE OF STATUTORY
REQUIREMENTS

13.3.1The Society shall
register itself with relevant government agencies for the purpose of complying
with the statutory requirements including regulations governing deduction of tax
at source relating to the staff, consultants and experts employed by it and/or
consultancies / contracts awarded by it in the course of performance of its
tasks.

13.4GOVERNMENT POWER TO
REVIEW

13.4.1Notwithstanding
anything to the contrary contained in these Rules, the Ministry of Health &
FW, Government of India, as the principal donor to the Society, may appoint one
or more persons to review the work and progress of the Society and hold
enquiries into the affairs thereof and report thereon, get the accounts of the
society audited by the internal audit parties of the Chief controller of
Accounts, MoHFW, GoI, and issue directions, as deemed appropriate, to the
Society.

13.4.2The Chairperson of
the Governing Body shall have the right to nominate one or more persons to be
part of the review / enquiries.

13.4.3The progress
review reports and / or enquiry reports shall be included in the written agenda
of the ensuing meeting of the Governing Body.

We, the undersigned being three of the members of the first Governing
Body of the State Health Society, …… (State name) certify that the above is a
correct copy of the Rules and Regulations of the said Society.

Sl. No.

Name and address

Signature

1

2

3

Dated :_________________________

Appendix-III

(Generic)
Bye-laws of the State Health Society, ……..(State name)

AProcurement Policy and Procedures

Procurement of goods and services to
be financed from funds received from Government of India shall be done as per
the procedures recommended by the Government of India.

In all other
cases, including where the GoI allows the State a choice, following order of
preference shall be applied for procurement of goods and
services:

Procurement of Goods:

A.Rate
contracts of the DGS&D, failing which,

B.Rate
contracts ofother GoI agencies,
failing which,

C.Tender procedure as
recommended by GOI.

Procurement of
services: Procedure as recommended by the GOI.

BProcedure for release
of funds and Financial Powers of the Office Bearers of the Governing / Executive
Committee

IClassification of Items of Expenditure and Financial powers of the
bodies and office bearers of the Society

(For
ensuring smooth flow of funds for the approved plans and activities, it is
necessary that proper delegation of administrative and financial powers is made
at each level. A model delegation is suggested below, which each State/UT may
consider keeping in view their existing systems and procedures and suitably
modify/add for meeting State’s own requirements and all relevant aspects)

Type of expenditure

Authority

Extent of power

A:Approval of District /City plans.

Governing Body / Executive
Committee

Full powers

B:Release of funds for
implementation of plans / allocations which have been approved by
Governing Body / Executive Committee.

Mission Director/DHS*

Full powers.

C: Expenditure proposals
not covered under categories A and/or B

C-1: Procurement of
goods

C-2: Repairs and minor civil
works

C-3: Procurement of services
for specific tasks including outsourcing of support services for the
Directorate.

Chairperson, Executive
Committee

More than Rs 5.00 lakh and
upto Rs. 10.00 lakh per case.

Mission
Director

Upto Rs. 5.00 lakh per
case.

C-4: Hiring of contractual
staff, including sanction of compensation package.

Chairperson, Executive
Committee

Full powers, provided that the
contracts shall be for a period not exceeding 11 months at a time.

Mission
Director

Full powers in respect of
Clerical / Class-IV equivalent positions, subject to compensation package
approved by the Governing / Executive Committee, provided that the
contracts shall be for a period not exceeding 11 months at a time.

Upto Rs. 5.00 lakh at a time
subject to a maximum of Rs. 50 lakh per annum.

Mission
Director

Upto Rs 2.00 lakh at a time,
subject to a maximum of Rs. 25.00 lakh per annum.

*as authorized by the State
Government.

IIProcedure for release of funds

The Society
funds shall be drawn through cheques and/or bank drafts and/or through e-banking
instruments as and when the same is introduced.

All cheques shall be signed by two
authorised signatories of the Society Secretariat on the basis of a written
authorisation from Executive Committee of the Society in this
behalf.

Wherever releases are decided to be
made through bank drafts and/or through e-banking, the authorisation letter to
the bank shall be signed by the concerned authorised signatories.

Wherever, under e-banking
procedures, releases are to be made through electronic authorisation to the bank
to issue cheque/draft/account transfer on behalf of the Society, the electronic
authorisation will be executed by the same two authorised functionaries of the
Society Secretariat who have been authorised to sign cheques on the basis of a
written authorisation in this behalf.

IllReview / revision of financial powers

The Executive Committee may review
and revise the financial powers of the office bearers of the bodies of the
Society on an annual basis and revise the same, if considered necessary.

CHuman
Resources Policy and Procedures

Recruitment and
Appointment

Appointments for
the Society can be made only against vacant posts prescribed for the Society in
accordance with the conditions in this regard prescribed by the Govt. of India
from time to time, (such as the overall programme management costs not to exceed
6% of the total programme costs).

Recruitment would be through either
of the following three routes:

Appointments from open market: all
such appointments will be on contractual basis for a fixed tenure.

Appointments on “Deputation” basis
: all such appointments will be regulated in terms ofthe State Government rules relating to
Deputation of its officers / staff.

Individuals recruited and paid for
by an outside agency [ e.g. Government of India and/or Development Partners]
but posted to work within the Society Secretariat: all such persons shall be
governed by the terms of employment of the organisation agency concerned.
However, they shall be required to report to the Director / Executive
Secretary as may be decided by the Chairperson, Executive Committee.

All appointments would be temporary
and would be made for the contract / deputation period as determined by the
Executive Committee.

Leave rules

Holidays, Casual Leave, Medical
Leave: The Society
staff and the full time consultants shall be governed by the State Government
rules, in so far as observance of holidays and grant of casual / medical leave
is concerned.

Leave without pay: The Society staff (including full
time consultants)shall be entitled
to take leave without pay in exceptional circumstances. This can be sanctioned
by the Executive Secretary after recordingthe reasons.For the
Executive Secretary, this would have to be endorsed by the Chairperson,
Executive Committee.

Training and capability
development:

Full time consultants and staff of
the Society (including staff on deputation) would be encouraged to take up skill
development courses and even correspondence courses which further their
employment prospects, enhance their skills, and build up Society capabilities.

Travelling
/ Dearness Allowance (TA/DA) Rules

Travel
within State:Travel of Society staff (including those
who are employed by the Society on deputation basis) within the State shall be
governed as per the entitlements given in the table below.

Executive
Secretary and senior officers on ‘deputation’ to the
Society

Full
time senior consultants

Junior / clerical staff

Entitlement
for rail travel

2nd AC / AC Chair
Car

2nd AC / AC Chair
Car

3rd
AC / AC Chair

Entitlement
for road travel [1]

Taxi

Taxi

Bus/Shared
taxi [2]

Per-diem
when hotel is not used

Rs.
300/- per day

Rs.
200/- per day

Rs.
300/- per day

Per-diem
when hotel is used [3]

Rs.
1000/- per night [4]

Rs
500/- per night [4]

Rs.
500/- per night [4]

Notes: [1]: The Society shall create
a panel of accredited taxi operators through open tender for hiring the taxis
for the travel of Society staff.

[2]: The Executive Secretary can
allow the junior staff to use a taxi for undertaking travel as per an approved
itinerary.

[3]: The Society shall identify and
negotiate a standard/discounted tariff for its staff / employees with the State
Tourism Corporation, guest houses of PSUs and budget / hotels in the State.

[4]: Maximum, subject to
actuals.

Travel outside the
State:Travel outside the State shall be
regulated on a case to case basis in accordance with delegated financial powers
as indicated in Section-B above (Financial Powers, item C-5).

Deduction
of Tax at
Source:Tax will be deducted at source as
per income tax rules and the Society shall register itself with the relevant
authorities in this regard.

*******

National Rural
Health Mission: Institutional Setup at the District level

District Health Mission and the
District Health Society

On the lines of the
State Health Mission, every district will have a ‘District Health Mission’
headed by the Chairperson, Zila Parishad. It will have the District Collector as
the Co-Chair and Chief Medical Officer as the Mission
Director.

To support the
District Health Mission, every district will have an integrated District Health
Society (DHS) and all the existing societies as vertical support structures for
different national and state health programmes will be merged in the DHS. The
DHS will be responsible
for planning and managing all health
and family welfare programmes in the district, both in the rural as well as urban areas.There are two important implications of
this requirement.Firstly, DHS’s
planning will have to take note of both treasury and non-treasury sources of
funds, even though it may not be handling all sources directly.Secondly, its geographical jurisdiction
will be greater than those of the Zilla Parishad and /or Urban Local Bodies
(ULBs) in the district[2].

Ensuring Inter-sectoral convergence
and integrated planning should be a specific task for the Governing Body of the
DHS.However, the DHS is not meant
to take over the executive functions of the ZP / ULBs and/or the district health
administration.On the contrary,
DHS is meant to provide the platform where the three arms of governance – ZP,
ULBs and district health administration and district programme managers of NRHM
sectors get together to decide on health issues of the district and delineate
their mutual roles and responsibilities.

The DHS may also be viewed as an
addition to the district administration’s capacity, particularly for planning,
budgeting and budget analysis, development of operational policy[3]
proposals, and financial management etc. Because it is a legal entity, the DHS
can set up its own office which has adequate contingent of staff and experts and
can evolve its own rules and procedures for hiring the staff and experts both
from the open market as well as on deputation from the Government.

In other words, the DHS is not an
implementing agency; it is a facilitating mechanism for the district health
administration as also the mechanism for joint planning by NRHM related sectors.

BGovernance structure

B.1District Health
Mission

Chairperson:Chairman, Zilla Parishad

Co-Chair:District Collector/DM

Vice Chair:CEO Zila Parishad

Convener*: Chief Medical Officer/CDMO/CMHO/Civil Surgeon

Members:MPs, MLAs, MLCs from the district, Chair-persons of the Standing
Committees of the Zilla Parishad, Project Officer (DRDA), Chair-persons of the
Panchayat Samitis and Hospital Management Societies, District Programme Managers
for health, PHED, ICDS, AYUSH, education, social welfare, Panchayati Raj, State
representative, representatives of MNGO/SNGO, etc.

B.2District Health Society

The overall
governance structure of the Society may be as depicted in Diagram-1 below.

*Presently, 3 posts at each District
level have been sanctioned by GoI in EAG States.However, in other States also, these may
be provided by the States themselves within 6% of the overall programme costs
for the State as a whole.Till such
time these are provided and actually recruited, a Dy. CMO level officer may be
designated as such to function as the District Programme Manager.

C Role
of the District Programme Manager, DHS Secretariat

S/he is seen as the key player not
only in setting up and operationalising the DHS secretariat, but also in arranging managerial and
supportive assistance to the district health administration, including general
management and logistic support. It is because of the twin responsibility that
s/he is been made the Convenor of both the Governing Body as well as the
Executive Committee. In the Programme Committees, however, s/he will be a simple
member.

The specific responsibilities of the
District Programme Manager, DHS will include, but not be limited to the
following:

A:
Management of DHS Secretariat

(a)Facilitate
the working of the DHS as per the bye-laws of the Society.

(b)Organise
recruitment of personnel for the DHS.

(c)Maintain
records of the Society.

(d)Organise
meetings of the Governing Body and Executive Committee including preparation of
agenda notes, circulation of minutes and compilation of action taken reports
etc.

(e)Organise
audit of the Society funds and preparation of annual report of the DHS as
required under the Bye-laws.

B:
Planning, Monitoring and Evaluation

(a)Create
and maintain district resource database for the health sector including
manpower, buildings, equipments and other support
infrastructure.

(b)Assist
the Civil Surgeon and district programme managers in developing the ‘District
Work Plan’ based on the National & State goals.

(c)Undertake
regular monitoring of initiatives being implemented in the district and provide
regular report and feedback to the Society and others who are entitles to
receive Annual Report of the Society [ District Collector, Chairperson, Zila
Parishad, designated authority State Government ].

(d)Ensure
compilation, analysis & presentation of relevant information in meaningful
formats and assist the Civil Surgeon in making informed discussions.

(e)Develop
strategies/plans to improve the quality of services and present to theSociety for
approval.

B:
Inventory management, Procurement & Logistics

(a)Facilitate
preparation of District Logistics Plan for optimal allocation of resources at
each facility.

(b)Ensure
timely collection and compilation of ‘demands’ and their timely
dispatch.

DDHS Secretariat

Initially, the Society Secretariat
will have a core team of 3 full time persons, consisting of the
following:

District Programme Manager (who
have been prescribed to be appointed by GoI in EAG States) or Dy. CMO (in the
case of other States, designated as such) since actual programme
implementation will remain with the programme managers under district

Finance / Accounts Manager, and

Data Assistant.

Once the Society Secretariat is
operationalised (i.e., the above core staff is in place and the office is set
up), the district programme officer posts sponsored under the Centrally
Sponsored Schemes and the contractual staff/consultants under the various Health
Programmes and bilateral/multi-lateral funding programmes may be brought under
the District Health Secretariat.

Eventually (that is, after
integration of the posts sponsored under the Centrally Sponsored Schemes with
the DHS), the DHS will have a number of functional units including technical
officers belonging to State Medical Services posted on deputation to the
District Society Secretariat.This
will not only allow the DHS to exercise a choice in the selection of district
programme managers, the tenure issue will also be addressed since all deputation
postings will be for a minimum period of 3 years.

EProcedure for recruitment and appointment of contractual staff

Recruitment can be facilitated by
the State Society as this would allow economies of scale and save time.

However, offer letters should be
issued by the District Society on the basis of a specimenoffer letter (see Appendix-IV, State
Society).

The recruitment of the specialists
for the hospitals can be similarly organised by the State Society or the
District Society. After recruitment, however, the offer letters should be issued
by the Hospital Management Society.

FProcess of merger of existing societies into integrated District Health
Society

After the District Health Society
has been registered, a special meeting of the Governing Body of existing
district societies in the health sector has to be convened to adopt the
following resolutions:

“ Resolved that the ………………….. (name
of the society) be dissolved with immediate effect and that all assets and
liabilities of the said society shall stand transferred to the District Health
Society, district …………… (district name).”

A signed copy of the above
resolution has to be then filed with the Registrar of Societies to complete the
process of merger.

Appendices to facilitate creation
and functioning of Integrated District Societies

Model Memorandum of Association
(Appendix-I)

Model Rules and Regulations (Appendix-II)

Generic Bye-laws (Appendix-III)

Appendix-I

(Model) Memorandum of Association
for the District Health Society

1. Name of the Society

The Name of the Society shall
be “District Health Society, District………..or DHS (district name)”.

2.Area of operation

The area ofoperation of the Society shall be
whole of district …………. (district name)

The Society shall assist
district health administration in the implementation of various health
programmes and projects in the district, with special emphasis on priority
sectors like reproductive and child health, population control, control of
malaria, TB and leprosy and prevention of blindness and malnutrition etc.

5.Scope of functions

To achieve the above
objectives, the Society shall direct its resources towards performance of
the following key tasks:

·To act as the nodal forum for
all stake holders –line departments, PRI and NGOs- to participate in
planning, implementation and monitoring of the various health and family
welfare programmes and projects in the district.

·To receive, manage and account
for the funds received from the State Government (including State level
Societies in thehealth
sector)for implementation of
Centrally Sponsored Schemes in the district.

·To strengthen the technical /
management capacityof
the District Health Administration through recruitment of individual /
institutional experts from the open market.

·To facilitate preparation of
integrated district health development plans, for health and its various
determinants like sanitation, nutrition and safe drinking water,
etc.

·To guide the functions related
to ‘Total Sanitation Campaign’ at the District level.

·To mobilise financial and
non-financial resources for complementing/supplementing the health and
family welfare activities in the district.

·To assist hospital management
societies in the district.

·To undertake such other
activities for strengthening health and family welfare activities in the
district as may be identified from time to time, including mechanisms for
intra and inter-sectoral convergence of inputs and structures.

6. First members ofthe Governing Body

The names, addresses,
occupations and designations of the First Members of the Governing Body of
the Society to whom by the rules and regulations of the Society, the
management of the affairs of the Society is entrusted as required under
section 2 of the Societies Registration Act, 1860 (No. XXI of 1860) are as
follows:-

Sl. No.

Name / Designation

Status inthe Governing Body

1.

District
Collector/DM

Chair-person

2.

DDC

Co-Chair

3.

Civil Surgeon/Chief
Medical Officer

Chief Executive Officer
(CEO) r

4.

Project Director,
DRDA

Member

5.

District Social Welfare
Officer

Member

6.

District Programme
Officer (ICDS)

Member

7.

District Programme
Officer (AYUSH)

Member

8.

District Programme
Officer (Primary Education)

Member

9.

District Programme
Officer (Rural Development)

Member

10.

District Programme
Manager

Convenor

A copy of the rules of the
Society certified to be a correct copy by three members of the Governing
Body is filed along with this Memorandum of
Association.

7.Declaration

We, the several persons whose
names and addresses are given below having associated ourselves for the
purpose described in this Memorandum of Association do hereby subscribe
our names to this Memorandum of Association and set our several and
respective hands hereunto and form ourselves into a Society under the
Societies Registration Act, 1860 (Act, No.XXI of 1860): this………….day of
2005 at………………..

Sl. N

Name

Occupation and address

Status in Society

Signature

Attested by

1

2

3

4

6

7

8

9

Dated:
__________________

Appendix-II

(Model) Rules / Regulations of the
District Health Society

1.SHORT
TITLE

1.1These Rules
and Regulations shall be called “The Rules and Regulations of the District
Health Society (District ………..), 2005”.

1.2These Rules
shall come into force with effect from the date of registration of the Society
by the Registrar of Societies.

2.DEFINITIONS

2.1In the
interpretation of these Rules and Regulations, the following expressions shall
have the following unless inconsistent with subject or
context:

“Act” means Societies Registration
Act, 1860.

“Central Government” means the
Government of India.

“DHS” means the District Health
Society

“Executive Committee” means the
Executive Committee as referred to in these Rules.

“District Programme Manager” means
the Programme Manager cum Convenor of the Society as referred to in these
Rules.

“Governing Body” means the Governing
Body of the Society as referred to in these Rules.

“Member” means the Member of the
Society as referred to in these Rules.

“Rules” means these Rules and
Regulations registered along with the memorandum of Association & as may be
amended by the Governing Body of the Society from time to
time.

“Secretariat” means the Secretariat
of the Society as referred to in these Rules.

“State Government” means the
Government of …….

“Year” means the financial year,
namely from 1st April of a calendar year to31st March of the next
calendar year.

3OFFICEAND JURISDICTION

3.1Registered
office of the Society shall be situated at the Office of the Civil Surgeon /
Chief Medical Officer / Chief Medical and Health Officer, ……………….. District
having its office at ………………… ……… ………………… ………………………… ……………… ………
………..

3.2The
jurisdiction of the Society shall be the whole of……………….. (district name)

4MEMBERSHIP

4.1The
following shall be the members of the Society:

First members of the Governing
Body.

Following additional ex-officio
members of the Governing Body:

Programme Managers / District
Officers in charge of national / centrally sponsored health & FW schemes
/ programmes and ex-officio office-bearers of the vertical programme /
project societies in the health & FW sector (e.g. District Blindness
Control Society, District RCH Society, District TB Control Society, District
Malaria Society etc.), which existed before the formation of this Society,
AYUSH and In-charge of ‘Total Sanitation Campaign’ in the
District.

Superintendents of District,
Sub-Divisionaland other
hospitals in the district, including Nagar Nigam hospitals, railway
hospitals, ESI hospitals and other public hospitals in the
district.

Elected representatives
(MLAs/MPs) from the district.

District Programme Manager to be
appointed under these Rules.

Representatives of Development
Partners supporting health and family welfare activities in the district, if
any.

NGO representatives of the
vertical programme / project societies in the health & FW sector (e.g.
District Blindness Control Society, District RCH Society, District TB Control
Society, District Malaria Society etc.) which existed before the formation of
this Society.

Representatives of other
organisations as may be determined by the Governing Body from time to
time.

Individuals as may be nominated by
the Governing Body from time to time.

4.2The
membership of an ex-officio member of the Society and of the Governing Body
shall stand terminated when he/she ceases to hold the office by virtue of which
he/she was member and his/her successor to the office shall become such
member.

4.3Non-official members of the Society will be nominated by the Chair-person
with the approval of the Governing Body.Nominated members shall hold office for a period of three years from the
date of their nomination by the Chair-person. Such members will be eligible for
re-nomination for another period of 3 years.

4.4The Society
shall maintain a roll of members at its registered office and every member shall
sign the roll and state therein his/her rank or occupation and address.No member shall be entitled to exercise
rights and privileges of a member unless he/she has signed the roll as
aforesaid.

4.5All members
of the Governing Body shall cease to be members if they resign, become of
unsound mind, become insolvent or be convicted of a criminal offence involving
moral turpitude or removal from the post by virtue of which s/he was holding the
membership.

4.6Resignation
of membership shall be tendered to the Governing Body in person to its Executive
Secretary and shall not take effect until it has been accepted on behalf of the
Governing Body by the Chairperson.

4.7If a member
of the Society changes his/her address he/she shall notify his/her new address
to the Executive Secretary who shall thereupon enter his/her new address in the
roll of member.But if a member
fails to notify his/her new address the address in the roll of members shall be
deemed to be his/her address.

4.8Any vacancy
in the Society or in the Governing Body shall be filled by the authority
entitled to make such appointment.No act or proceedings of the Society or of the Governing Body shall be
invalid merely by reason of the existence of any vacancy therein or of any
defect in appointment of any of its members.

4.9No member
of the Governing Body, except the Executive Secretary to be appointed as per
these Rules, shall be entitled to any remuneration.

5AUTHORITIES OF THE DHS

5.1The
following shall be the bodies and authorities of the
Society:

Governing Body

Executive
Committee

Sub-Committees of the Executive
Committee, such as Programme Committees

5.2GOVERNING
BODY

5.2.1All members of the Society as
set out in para 4.1 shall constitute the Governing Body of the Society.

5.2.2The first members of the
Governing Body of the Society shall be those mentioned in Clause 6 of the
Memorandum of Association.They
shall hold office until a new Governing Body is appointed according to these
Rules.

5.2.3The management of the affairs of the
Society shall be entrusted to Governing Body and the property of the Society
shall be vested in the Governing Body.

5.2.4The Society may sue or be
sued in the name of the Executive Secretary of the Society or of such other
members as shall,in reference to
the matter concerned,be appointed
by the Governing Body for the occasion.

5.3PROCEEDINGS
OF THE GOVERNING BODY

5.3.1The meetings of the Governing Body shall be held at least twice a year and at such time
and place as the Chair-person shall decide.If the Chair-person receives a
requisition for calling a meeting signed by one-third members of the Governing
Body, the Chair-person shall call such a meeting as soon as may be reasonably
possible and at such place as s/he may deem fit.

5.3.2Following minimum business
shall be brought forward and disposed off in every meeting of the Governing
Body:

·Annual report of
the Society relating to last financial year, including (a) income and
expenditure account, (b) balance sheet and (c) audit
report.

·Physical and
financial progress of the programmes / projects in the current year.

·Work Plan
(including budget) for the next financial year.

·Other business
brought forward with the assent of the Chair-person.

5.3.3Every notice calling meeting
of the Governing Body shall state the date, time and place at which such meeting
will be held and shall be served upon every member of the Governing Body not
less than twenty one clear days before the date appointed for the meeting.Such notice shall be issued by the
Executive Secretary of the Society and shall be accompanied by an agenda of the
business to be placed before the meeting provided that accidental omission to
give such notice to any member shall not invalidate any resolution passed at
such meeting.In the event of any
urgent business the Chair-person may call the meeting of the Governing Body at
clear ten days notice.

5.3.4The Chair-person shall Chair
the meetings of the Governing Body. In his/her absence, the Governing Body shall
elect one from among the members present as Chair-person of the meeting.

5.3.5One third of the members of
the Governing Body, including the substitutes nominated under Rule 5.3.7 present
in person, shall form a quorum at every meeting of the Governing
Body.

5.3.6All disputed questions at the
meeting of the Governing Body shall be determined by votes. Each member of the
Governing Body shall have one vote and in case of a tie, the Chair-person shall
have a casting vote.

5.3.7Should any official members
be prevented for any reason whatsoever from attending a meeting of the Governing
Body,the Chair-person of the
Society shall be at liberty to nominate a substitute to take his place at the
meeting of the Governing Body.Such, substitute shall have all the rights and privileges of a member of
the Governing Body for that meeting only.

5.3.8Any member desirous of moving
any resolution at a meeting of the Governing Body shall give notice there of in
writing to the Executive Secretary of not less than ten clear days before the
day of such meetings.

5.3.9Any business which it may
become necessary for the Governing Body to perform,except the agenda prescribed for the
full meeting as set out in para 5.3.2 above, may be carried out by circulation
among all its members and any resolution so circulated and approved by majority
of the members signing shall be as effectual and binding as if such resolution
had been passed at a meeting of the Governing Body provided that at least one
third members of the Governing Body have recorded their consent of such
resolution.

5.3.10In the event of any urgent business, the
Chair-person of the Society may take a decision on behalf of the Governing
Body.Such a decision shall be
reported to the Governing Body at its next meeting for
ratification.

5.3.11A copy of the minutes of the proceedings
of each meeting shall be furnished to the Governing Body members within 2 weeks
after completion of the meeting.

5.4POWERS OF
THE GOVERNING BODY

5.4.1The Governing Body will have
full control of the affairs of the Society and will have authority to exercise
and perform all the powers, acts and deeds of the Society consistent with the
aims and objects of the Society.

5.4.2In particular and without
prejudice to the generality of foregoing provision, the Governing Body
may:

Make, amend, or repeal any bye
laws relating to administration and management of the affairs of the Society
subject to the observance of the provisions contained in the Act, provided
that such amendments are brought to the Governing Body after obtaining endorsement / approval
from the State Government[4].

Consider the annual budget and the
annual action plan, its subsequent alternations placed before it by the
Executive Secretary from time to time and to pass it with such modifications
as the Governing Body may think fit.

Monitor the financial position of
the Society in order to ensure smooth income flow and to review annual audited
accounts.

Accept donations and endowments or
give grants upon such terms as it thinks fit.

Delegate its powers, other than
those of making rules, to the Chair-person, Executive Secretary or other
authorities as it may deem fit.

·Authorise the
Executive Secretary to execute such contracts on behalf of the Society as it may
deem fit in the conduct of the business of the Society.

Appoint committees, sub-Committees
and Boards etc. for such purpose and on such terms as it may deem fit, and to
remove any of them.

Recruit administrative / technical
staff for the Society secretariat as per the Operational Manual of the
Society.

Procure goods and services in
accordance with the procedures laid down in the Operational Manual of the
Society.

Do generally all such other acts
and things as may be necessary or incidental to carrying out the objectives of
the Society or any of them, provided that nothing herein contained shall
authorize the Governing Body to do any act or to pass any bye-laws which may
be repugnant to the provisions hereof, to the powers hereby conferred on the
Governing Body and other authorities, or which may be inconsistent with the
objectives of the Society.

5.5POWERS AND
FUNCTIONS OF THE CHAIR-PERSON OF THE GOVERNING BODY

5.5.1The Chair-person shall have
the powers to call for and preside over all meetings of the Governing
Body.

5.5.2The Chair-person may
himself/herself call, or by a requisition in writing signed by him/her, may
require the Executive Secretary to call, a meeting of the Governing Body at any
time and on the receipt of such requisition, the Executive Secretary shall
forthwith call such a meeting.

5.5.3The Chair-person shall enjoy
such powers as may be delegated to him by the Society and the Governing Body.

5.5.4The Chair-person shall have
the authority to review periodically the work and progress of the Society and to
order inquiries into the affairs of the Society and to pass orders on the
recommendations of the reviewing or inquiry Committee.

5.5.5Nothing in these Rules shall
prevent the Chair-person from exercising any or all the powers of the Governing
Body in case of emergencies in furtherance of the objects of the Society.
However, the action taken by the Chair-person on such occasions shall be
reported to the Governing Body subsequently for
ratification.

5.6EXECUTIVE
COMMITTEE AND ITS SUB-COMITTEES (Programme Committees)

5.6.1The Governing Body will
constitute an Executive Committee which will be responsible for acting for and
doing all deeds on behalf of the Governing Body and for taking all decisions and
exercising all the powers, vested in the Governing Body except those which the
Governing Body may specifically specify to be excluded from the jurisdiction of
by the Executive Committee.

Three
Governing body members belonging to NGOs / charitable hospitals from the
district, nominated by the Chair-person of the Governing Body

Member

14

Member

15

Member

16

District
Programme Manager/District RCH Officer

Convenor

5.6.2Till such time a regular
incumbent to the post of District Programme Manager has been appointed, the
District may decide to designate one of the Dy. CMOs to function as Convenor of
the Governing Body / Executive Committee.

5.6.3The Executive Committee may
co-opt additional members and/or invite subject experts to its meetings from
time to time.

5.6.4Meetings of the Executive
Committee shall be convened by the Member Secretary by giving clear seven days
notice in writing along with the Agenda specifying the business to be
transacted, the date, time and venue of the meeting.

5.6.5Meetings of the Executive
Committee shall be held at least once every month or more frequently as
necessary.

5.6.6The minutes of the Executive
Committee meetings will be placed before the Governing Body at its next meeting.

5.6.7The Executive Committee may
appoint one or more programme-committees for the purpose of day-to-day execution
of the various programmes.

5.6.8The programme committees
will submit a monthly performance / progress report to the Executive Committee
which shall incorporate these into the consolidated progress reports to be
placed before the Governing Body.

5.7SOCIETY
SECRETARIAT AND EXECUTIVE SECRETARY

5.6.1Governing Body, with the
assistance of the Executive Secretary, will establish a Secretariat of the
Society consisting of technical, financial and management professionals to serve
as the District Programme Management Support Unit (DPMSU) to assist the district
health administration.

5.6.2The Secretariat shall consist
of such technical / management units as set out in the Operational Manual
prescribed by the State Government.

5.6.3The district level officers
appointed under on-going projects sponsored by development partners, if any,
shall be physically co-located in the Society Secretariat office[6].

5.8POWERS AND
FUNCTIONS OF THE SECRETARIAT

5.8.1The Secretariat of the
Society shall consist of the Executive Secretary and Staff of the Society.

5.8.2The Secretariat will be
responsible for day-to-day management of the Society’s activities.In particular, it will be responsible
for performing all functions of the Society as set out in article 5 of the
MoA.

5.8.3The Secretariat will provide
Technical Support to the District Health Mission.It will also be responsible for
financial management of funds of the Society.

5.8.4The funds sanctioned by the
Governing Body/Executive Committee shall be released by the two authorized
signatories and a copy of the sanction order marked to the DPMSU for financial
management of the same.

6FUNDS OF THE SOCIETY

6.2The funds of the
Society shall consist of the following:

·Grant-in-aid
from the State Government and/or State Health Society

·Grants-in-aid
from the Central Government, if it decides to give the whole or part of grants
directly to District Society.

·Grants and
donations from trade, industry, institutions and individuals.

·Receipts from
disposal of assets.

·The assets and
liabilities of all Societies merged into the integrated Society shall be
subsumed within the new Society.

7ACCOUNTS AND AUDIT

7.1The Society
shall cause regular accounts to be kept of all its monies and properties in
respect of the affairs of the Society.

7.2The
Executive Committee may cause separate Bank Accounts in respect of each scheme
or separate ledgers for each scheme under one account. In such an event, the
Governing Body shall prescribe written instructions relating to submission of
Statement of Expenditure (SoE) for each scheme.The separate Accounts of different
Programmes could be audited by different auditors, and submitted to Programme
Units separately.However, the
DPMSU will ensure one integrated audit of the District Health
Society.

7.3The
accounts of the Society shall be audited annually by a Chartered Accountant firm
included in the panel of Comptroller and Auditor General of India or any
qualified person appointed by the Government of India/State Government and any
expenditure incurred in connection with such audit shall be payable by the
Society to the Auditors. The Office of the Accountant General of State may also,
at its discretion, audit the accounts of the society.

7.4The
Chartered Accountant or any qualified person appointed by the Govt. of
India/State Government in connection with the audit of the accounts of the
Society shall have the same rights, privileges and authority in connection with
such audit as the Auditor General of the State has in connection with the audit
of Government accounts and in particular shall have the right to demand the
production of books, accounts, connected vouchers and other necessary documents
and papers.

7.5The report
of such audit shall be communicated by the auditor to the Society, which shall
submit a copy of the Audit Report along with its observation to the State
Government.

7.6The Auditor
shall also forward a copy of the report to the following:

·A designated
authority of the State Society as may be determined by its Governing Body /
Executive Committee.

·The District
Collector.

·Chair-person of
the Governing Body of the Society and State Government or a designated authority
of the State level society.

8BANK ACCOUNT

8.1The account
of the Society shall be opened in a nationalised bank approved by the Executive
Committee or in a scheduled commercial bank as may be specified by the MoHFW,
Government of India.All funds
shall be paid into the Society’s account with the appointed bank and shall not
be withdrawn except through a cheque, bill note, other
negotiable instruments or through electronic banking (e-banking)
procedures
signed/electronically authorised by such authorities of the Society Secretariat
as may be determined by the Executive Committee.

8.2The Society
shall switch over to e-banking procedures as and when the MoHFW, Government of
India directs the Society to do so as the principal donor to the Society.

9ANNUAL REPORT:

9.1A draft
annual report and the yearly accounts of the Society shall be placed before the
Governing Body at next meeting for consideration and approval.A copy of the annual report and audited
statement of accounts as finally approved by the Governing Body shall be
forwarded within six months of the closure of a financial year to the
following:

·District
Collector/DM,

·Chair-person,
Governing Body, and

·Designated
authority of the State Government.

10SUITS
AND PROCEEDINGS

10.1The Society may sue or
be sued in the name of Society through its Executive Secretary.

10.2No suit or proceedings
shall abate by the reason of any vacancy or change in the holder of the office
of the Chairperson or Executive Secretary or any office bearer authorised in
this behalf.

10.3Every decree or order
against the Society in any suit or proceedings shall be executable against the
property of the Society and not against the person or the property of the
Chairperson, Executive Secretary or any office bearer of the Society.

10.4Nothing in sub-rule
10.3 above shall exempt the Chairperson, Executive Secretary or office bearer of
the Society from any criminal liability or entitle him/her to claim any
contribution from the property of the Society in respect of any fine to be paid
by him/her on conviction by a criminal court.

11AMENDMENTS

11.1The Society may amend these Rules provided that such
changes shall not alter the nature and /or the objectives and/or the purposes
for which it has been set up. The proposals for any amendments shall be carried
out only through the following process:

11.1.1Proposals for amendments have
been circulated to all members of the Governing Body and have been duly included
in the written agenda of the ensuing meeting of the Governing Body or a special
meeting of the Governing Body;

11.1.2The Governing Body has
endorsed the proposal at least 3/5th of the members of the Governing
Body; and

11.1.3The State Government has
communicated, in writing, its endorsements to the Governing Body resolution for
the amendment.

12DISSOLUTION

12.1The Governing Body may
resolve to dissolve the Society by bringing a proposal to that effect in a
special meeting to be convened for the purpose, provided that the proposal for
dissolution has been duly approved /endorsed through the process prescribed for
amendment as set out in para 11.1 of these Rules.

12.2The dissolution
proceedings shall be made in accordance with the provisions of the Act as
amended from time to time in its application in the State.

12.3Upon the dissolution of
the Society, all assets of the Society, after the settlement of all its debts
and liabilities, shall stand reverted to the State Government for such purposes
as it may deem fit.

13 MISCLELLANEOUS

13.1CONTRACTS

13.1.1All contracts and other instruments for
and on behalf of the Society shall be subject to the provisions of the Act, be
expressed to be made in the name of the Society and shall be executed by the
persons authorised by the Governing Body.

13.1.2No contracts for the sale, purchase or
supply of any goods and material shall be made for and on behalf of the Society
with any member of the Society or his/her relative or firm in which such member
or his/her relative is a partner or shareholder or any other partner or
shareholder of a firm or a private company in which the said member is a partner
or director.

13.2COMMON SEAL

13.2.1The Society shall have a common seal of
such make and design as the Governing Body may approve.

13.3GOVERNMENT POWER TO
REVIEW

13.3.1Notwithstanding anything to the contrary
contained in these Rules, the State Government and/or Ministry of Health &
Family Welfare may appoint one or more persons to review the work and progress
of the Society and hold enquiries into the affairs thereof and report thereon.
The Central Government may also cause the accounts of the Society to be audited
by the internal audit parties of the Chief Controller of Accounts, MoHFW, GOI or
do Management Audit through the Financial Management Group, and issue
directions, as deemed appropriate, to the Society.

13.3.2The Chair-person of the Governing Body
shall have the right to nominate one or more persons to be part of the review /
enquiries.

13.3.3The progress review reportsand / or enquiry reports shall be
included in the written agenda of the ensuing meeting of the Governing Body.

We,
the undersigned being three of the members of the first Governing Body of the
District Health Society, certify that the above is a correct copy of the Rules
and Regulations of the said Society.

Sl. No.

Name and
address

Signature

1

2

3

Dated
:_________________________

Appendix-III

(Generic)Bye-laws of the District Health
Society

AProcurement Policy and
Procedures

Procurement of goods and services
will be organized as per the procedures recommended by the State Society.Commitments made to
multilateral/bilateral donor agencies with regard to Procurement Procedures
under different Projects would be honoured.

BProcedure
for release of funds

Funds would be ordinarily released
from State Health Society to District Health Society in two tranches.The Society funds shall be drawn through
cheques and/or bank drafts or through e-banking mechanism as and when the same
is introduced.

All cheques shall be signed by two
authorized signatories comprising of Accounts Manager and Member-Secretary of
the concerned programme committee.

All releases will be made on the
basis of a written authorization from the Member-Secretary of the concerned
programme committee.

Wherever releases are decided to be
made through bank drafts and/or through e-banking, the authorization letter to
the bank shall be signed by the concerned authorized signatories.

Note: Wherever, under e-banking
procedures, releases are to be made through electronic authorization to the bank
to issue cheque/draft/account transfer on behalf of the Society, the electronic
authorization will be executed by the same two authorized functionaries of the
Society secretariat who have been authorized to sign cheques on the basis of a
written authorization from the concerned programme manager and/or consultant
and/or Head of concerned Programme Division and/or Executive Secretary and/or
Chief Medical Officer.

Upto Rs. 1.00 lakh at a time
subject to a maximum of Rs. 10 lakh per annum.

Chair-person, Executive
Committee

Upto Rs 50,000 at a time,
subject to a maximum of Rs. 5.00 lakh per annaum.

Member-Secretaries of the
Programme Committees

Upto Rs 5,000/- at a time
subjectto a maximum of Rs.
1.00 lakh per annum.

DHuman Resources Policy and
Procedures

D-1:Recruitment and
Appointment

Recruitment would be through either
of the following two routes:

Appointments from open market: all
such appointments will be on contractual basis for a fixed tenure.

Appointments on “Deputation”
basis: all such appointments will be regulated in terms of State Government
rules relating to Deputation.

Recruitment may either be made by
the State Society [ e.g. recruitment of Executive Secretary from the open market
or recruitment of District Programme Managers on deputation basis] OR by the DHS
[e.g. recruitment of support staff for the District Programme Manager] OR a
combination of both a may be determined by the State Society.

All appointments would be temporary
and would be made for the contract / deputation period as may be determined by
the State Government.

D-2:Terms of appointment
(applicable to Society staff and Consultants)

The terms of appointment of the
staff of the Society shall be regulated in terms of the guidelines that may be
provided by the State Government.

D-3:Compliance of Statutory Requirements:

The Society shall register itself with
relevant government agencies for the purpose of complying with the statutory
requirements including regulations governing deduction of tax at source relating
to the staff, consultants and experts employed by it and/or consultancies /
contracts awarded by it in the course of performance of its
tasks.

[2] The 74th Amendment provides for creation of a District
Planning Committee to consolidate the plans prepared by Panchayats and
Municipalities in the district and to prepare a draft development plan for the
district as a whole. However, the DPC’s role is limited to planning only and
does not include management functions.

[3] At the district level, operational policy will relate to decisions
about procedures, priorities etc. which set the precedent about what management
actions are to be followed by the programme managers. For example, the DHS may
be authorised to relocate all or some categories of staff within the district.
The DHS will be required to evolve and approve a procedure to be followed by the
programme managers in this regard.

* The
State may decide to designate Convenor of the District Health Mission as Mission
Director in respect of the District Health Mission

[4]This provision is being made to ensure
that the DHSs in other districts also benefit from avenues of improvementsidentified in a district.

[5]In districts having
District Hospital (Male) and District Hospital (Female), Superintendents of both
shouldbe included as members of
the Executive Committee.

[6]These include NPSP Medical Officers
(WHO),District Programme Managers
of the Border District Cluster Scheme (UNICEF) and District Programme Manager
for the nutrition projectsof the
CARE etc.